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HomeMy WebLinkAboutX-E-02 National Class Action Settlements - PFAS City Council Memorandum To: Mayor Fasbender & City Councilmembers From: City Administrator Dan Wietecha Date: October 16, 2023 Item: National Class Action Settlements - PFAS Council Actions Requested: Informational only; no action recommended tonight. Background Information: Recently, multi-district litigation against 3M and DuPont has resulted in two proposed class action settlements being overseen by the US District Court in South Carolina. These national settlements are approximately $10.5B to $12.5B by 3M and $1.2B by DuPont. The amounts will be reduced by legal costs, fees, and administrative costs. Settlement payments would be paid over 9 years. The City of Hastings, as a public water system that has PFAS, is eligible to participate in the settlement. Under the settlement “calculator,” Hastings would receive about $1.5M – far less than the estimated $69M to construct three treatment plants plus operation and maintenance of $800K to $1M per year, increasing over time. Participation in the class action settlement would preclude the City making additional claims against 3M and DuPont. Next month, I will recommend the City affirmatively opt out of the settlement. The opt out deadline for the DuPont settlement is December 4, 2023. The opt out deadline for the 3M settlement is December 11, 2023. If the City does not affirmatively opt out, the City will automatically be included in the settlement. Financial Impact: N/A Attachments: N/A X-E-02